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STR Global: Middle East/Africa hotel results for June 2015

July 27, 2015 Statistics & Trends No Comments Print Print Email Email

Hotels in the Middle East/Africa region reported mixed results in the three key performance metrics when reported in U.S. dollar constant currency, according to June 2015 data compiled by STR Global.Compared to June 2014, the Middle East/Africa region reported an 8.2% decrease in occupancy to 56.1%, a 4.2% increase in average daily rate to US$141.93 and a 4.4% decrease in revenue per available room to US$79.59.

Performance of featured countries for June 2015 (local currency, year-over-year comparisons):

Jordan saw declines in each of the three key performance metrics: occupancy (-31.7% to 43.6%), ADR (-6.2% to JOD101.48) and RevPAR (-35.9% to JOD44.28). According to STR Global analysts, the situation in Syria and the number of refugees entering Jordan has affected hotel performance in the country.

Nigeria experienced a 0.8% decrease in occupancy. However, inflation levels pushed ADR in the country up 7.7% to NGN45,128.00. RevPAR increased 6.9% to NGN23,662.40.

Qatar reported double-digit declines in occupancy (-21.0% to 59.2%) and RevPAR (-18.5% to QAR388.64). ADR in the country was up 3.2% to QAR656.32. The performance declines in Qatar coincide with Ramadan.

South Africa reported a 0.5% decrease in occupancy to 55.4%, but ADR (+7.2% to ZAR1,013.28) and RevPAR (+6.6% to ZAR561.08) each increased. According to STR Global analysts, supply, demand and pipeline growth have all remained slowed in South Africa due to economic performance.

Performance of featured markets for June 2015 (local currency, year-over-year comparisons):

Abu Dhabi, United Arab Emirates, reported decreases in each of the three key performance metrics: occupancy (-10.2% to 60.9%), ADR (-3.7% to AED389.42) and RevPAR (-13.5% to AED237.26). The performance decreases in the market are consistent with Ramadan.

Dubai, United Arab Emirates, recorded a 15.4% decrease in occupancy to 63.2%, an 8.8% drop in ADR to AED577.85 and a 22.9% decline in RevPAR to AED365.16. Occupancy in Dubai remained steady during Ramadan 2015 when compared to Ramadan 2014, even with a 6.2% year-over-year increase in year-to-date supply.

Johannesburg, South Africa, reported an 8.3% increase in occupancy to 60.3% as well as double-digit growth in ADR (+16.5% to ZAR888.15) and RevPAR (+26.2% to ZAR535.95).

Sandton and its surrounding areas in South Africa saw double-digit growth in the three key performance measurements: occupancy (+15.9% to 70.4%), ADR (+11.2% to ZAR1,293.02) and RevPAR (+28.9% to ZAR909.64).

According to STR Global analysts, the performance in the two key South African markets has remained strong despite fewer international arrivals due to strict visa requirements and the after-effect of the Ebola pandemic.

Additional performance data

Looking for performance data for a market not featured in this month’s release? STR Global gathers performance data from more than 18,000 hotels comprising more than 3.0 million rooms. Please contact [email protected] for additional data requests.

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